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Centre Vs states; political uproar intensifies over fuel price HIKE | Matrabhumi

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Prime Minister Narendra Modi encouraged Opposition-ruled states to decrease VAT and work "in the spirit of cooperative federalism" in this "time of global crisis," citing high fuel prices in states that did not follow the Centre's request to lower VAT on gasoline and diesel. These states, he claimed, were doing them a "injustice" and injuring neighbouring states by not passing on advantages to the people. The Prime Minister stated that a proposal to cut VAT was made in November, but states such as Maharashtra, West Bengal, Telangana, Andhra Pradesh, Tamil Nadu, Kerala, and Jharkhand "for some reason" did not comply.

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